Heron Financial arranged a £48,000 mortgage with NatWest Intermediary Solutions at an initial fixed rate of 4.39% on a 2-year fix for the second of two flats purchased by the same self-employed sole-trader buyer on a single Newcastle upon Tyne freehold. The mortgage sat at approximately 69% LTV against a £71,000 purchase price. The case completed in December 2025, alongside the parallel completion on the first flat.
The client
The client was a British self-employed sole trader with 18 years of trading history, completing the second half of a strategic two-flat acquisition on a single freehold in Newcastle upon Tyne. This case covers the second flat in the pair. Detail on the title-splitting and new-lease-creation legal work that ran in parallel across both purchases is covered in the companion case study on the first flat purchase.
The case at a glance
- Buyer: Solo applicant, British national, self-employed sole trader (18 years trading)
- Property type: Purpose-built flat (second of two flats on the same freehold)
- Location: Newcastle upon Tyne
- Purchase price: £71,000
- Deposit: £22,000 from personal savings (~31%)
- Loan amount: £48,000
- LTV: Approximately 69%
- Lender: NatWest Intermediary Solutions
- Product: 2-Year Fixed Rate
- Initial fixed rate: 4.39%
- Repayment method: Capital and interest
The challenge
The strategic logic of buying both flats on a single freehold in one combined transaction is what drives a case like this. A few specific advantages flow from the structure.
1. Full control over the building. When a buyer owns both flats in a two-flat building, they hold both leasehold titles. If they also acquire the freehold (or already hold it), they effectively control the entire property. Decisions about lease terms, ground rent, alterations, maintenance and any future restructuring sit with the same person rather than requiring negotiation with another flat owner or external freeholder.
2. Coordinated mortgage process. Running two mortgage applications for the same buyer with the same lender at the same time can simplify the underwriting picture. NatWest had visibility of both purchases, the combined income picture supporting both, and the legal restructuring affecting both leases. The two mortgages don’t share a single account, but the case management benefits from running them together.
3. Slightly different financial profiles on each flat. The two flats had different purchase prices (£60,000 and £71,000) and different LTVs (75% and 69%), reflecting their relative sizes or values within the same building. For the buyer, this meant slightly different deposit and monthly payment positions across the two flats. For the lender, two separate cases with their own underwriting on each property.
The lender, NatWest Intermediary Solutions, accepted the new lease for this flat alongside the parallel lease for the first flat. The mortgage at 69% LTV sat comfortably inside mainstream pricing and was placed at the same 4.39% rate as the first flat.
For full detail on the title-splitting process and lender requirements on new lease creation, see the Flat 1 case study.
How Heron Financial approached the recommendation
The Heron adviser coordinated the two mortgage applications, matched both to NatWest Intermediary Solutions (the broker channel of NatWest), and managed underwriting, valuation, EPC requirements and lease drafting in parallel for both flats. The strategy was to keep both applications progressing on similar timelines so the buyer could complete on both flats together rather than face a gap between completions.
The outcome
The case completed in December 2025, on the same day as the first flat. The buyer took ownership of both flats simultaneously, with the title splitting complete, both new leases in place, and both mortgages running with NatWest.
What this means for buyers in a similar position
Buying both flats in a small building is a less common but strategically valuable approach for buyers who want full control over the property. A few practical points worth knowing.
Two flats means two mortgages. Even though the buyer is the same person and the property is the same building, each flat is a separate legal title and requires its own mortgage application. The cases run in parallel rather than as one combined application.
The same lender often handles both cleanly. When one lender has visibility of both purchases, the underwriting on the combined income picture is straightforward. In this case, NatWest handled both mortgages for the same buyer with the same self-employed income evidence.
Each flat has its own LTV and pricing. The deposit, loan amount and LTV on each flat can differ, reflecting the relative purchase prices. This may result in slightly different rates across the two mortgages, even with the same lender and product type. In this case, both flats placed at 4.39% on the same 2-year fix.
Completing on the same date is the cleanest outcome. Parallel completion on both flats keeps the transaction simple and avoids the buyer being mid-purchase on one flat while still in process on the other. Coordinated case management matters.
Strategic uses vary. Common reasons to buy both flats include occupying one and letting the other, holding both for letting, family use across the building, or future redevelopment plans. The right ownership and lending structure depends on the buyer’s intended use.
FAQs
Can I buy two flats in the same building?
Yes. Each flat is a separate legal title and requires its own mortgage application, but the same buyer can hold both. In this Heron Financial case, a solo buyer completed parallel purchases of both flats in a Newcastle upon Tyne building, with each flat funded by its own NatWest mortgage.
Can I get two mortgages with the same lender on the same day?
Yes, in some circumstances. Some lenders coordinate parallel applications well; some prefer to treat them as separate transactions. In this Heron Financial case, NatWest Intermediary Solutions handled both flats for the same buyer with parallel completion in December 2025.
Why would someone buy both flats in a small building?
Strategic reasons include controlling the entire building’s leasehold and (often) freehold position, occupying one flat and letting the other, family use across both flats, or future redevelopment plans. Holding both flats removes the need to negotiate with another leaseholder on shared building decisions.
Do I need separate deposits for each flat?
Yes. Each mortgage application stands on its own and requires its own deposit. In this Heron Financial case, the buyer used £15,000 on the first flat and £22,000 on the second, totalling £37,000 in deposit across the pair, drawn from personal savings.
Is NatWest good for cases involving multiple property purchases?
NatWest Intermediary Solutions is the broker channel of NatWest, one of the major UK mainstream lenders, and is regularly considered for residential cases including those involving complex transactions. Heron Financial assesses every case on its merits and selects a lender based on affordability, product pricing, criteria fit and service standards at the time of application.
